Monday, April 15, 2013






March WPI inflation eases to 5.96%

Driven by decrease in the prices of cereals, rice, wheat, pulses, vegetables, potato, onion, fruits, milk, egg, meat and fish, fuel and power, the WPI inflation decreased to 5.96 % (Y-O-Y) for the month of March 2013 as compared to 6.84% (Y-O-Y) for the month of February 2013. The Index for Wholesale Prices for the month of March 2013 rose by 0.2% to 170.6 from 170.02 for the previous month.

  Trend in WPI inflation since January 2010 (Y-O-Y %)
                                                     
Source: PHD Research Bureau, compiled from the office of the economic advisor to the Govt. of India

The build up in inflation in the financial year (Apr-Mar FY2013) far was 5.96% as compared to a build up of 7.69% in the corresponding period of the previous year (Apr-Mar FY2012). Buildup in WPI inflation has decreased due to decline in the prices of vegetables, milk, egg, meat & fish, petrol, minerals, fuel and power and edible oil,etc.

 WPI inflation in select commodities
Commodity
WPI Inflation Y-o-Y % growth
Jan'13
Feb'13
Mar'13
1
All Commodities
7.31
6.84
5.96
2
Primary Articles
11.41
9.70
7.60
3
Food Articles
12.35
11.38
8.73
4
Cereals
18.60
19.19
18.36
5
Vegetables
30.02
12.11
-0.95
6
Non-food Articles
13.00
10.06
8.95
7
Fuel & Power
9.27
10.47
10.18
8
Petrol
3.43
6.25
5.12
9
Manufactured Products
4.95
4.51
4.07
10
Sugar
10.09
10.21
9.41
11
Edible oils
7.54
6.53
2.40
12
Cement & Lime
5.18
5.05
5.40
 Source: PHD Research Bureau, compiled from the office of the Economic Advisor to the Govt. of India

  Build up in Inflation in select food commodities                             (%)

 
Source: PHD Research Bureau, compiled from the office of the Economic Advisor, Govt. of India

Manufacturing inflation declines to 4.07% (weight 64.97%)

The WPI inflation for manufactured products decreased to 4.07% in March 2013 vis-à-vis 4.51% in the month of February 2013. The index for this major group rose by 0.1% to 148.4 from 148.2 for the previous month. 


 Trend in WPI inflation in manufactured products                        (%)                                                               
Source: PHD Research Bureau, compiled from the office of the Economic Advisor

Food inflation declines to 8.73% (Weight 14.34%)

Food inflation for the month of March 2013 has declined to 8.73% as against 11.38% for the month of February 2013, on account of decrease in prices of cereals, rice, wheat, pulses, milk, vegetables, potato, onion, fruits, egg, meat & fish.

  Pattern of food inflation (Y-o-Y %)                     Food articles Index since Apr 2011  
       
Source: PHD Research Bureau, compiled from the office of the Economic Advisor, Govt. of India

Non-food articles inflation scales down to 8.95% (weight 4.26%)

The rate of inflation for non-food articles for the month of March 2013 stands at 8.95% as compared to 10.06% for the previous month. The index for non-food articles group rose by 0.6% to 206.9 from 205.6 for the previous month due to higher prices of logs & timber (16%), soybean (11%), raw rubber (7%), mesta and gingelly seed (5% each) and raw cotton, raw silk and raw jute (4% each). However, the prices of flower (18%), rape & mustard seed (9%), copra (coconut), fodder (3% each), groundnut seed and guar seed (1% each) have declined.

Fuel & power inflation declines to 10.18% (weight 14.91%)

The rate of inflation for fuel and power for the month of March 2013 stands at 10.18% as compared to 10.47% for the previous month. The index for this major group rose by 0.4% to 195.9 from 195.2 for the previous month due to higher prices of aviation turbine fuel (4%), high speed diesel and lignite (2% each). However, the prices of naphtha and light diesel oil (2% each) and petrol (1%) have declined.


Warm regards,

Dr. S P Sharma
Chief Economist
________________________________________________________
PHD Research Bureau
PHD Chamber of Commerce and Industry
August Kranti Marg, New Delhi – 110016
Tel 91 11 49545454, Fax 91 11 26855450
E mail – research@phdcci.in
Website www.phdcci.in

No comments:

Post a Comment

Competitiveness, climate, security Finn’s priorities Ministry of Finance release Finnish road map of EU presidency. Finland i...